BBTV Holdings has announced that it will be reducing its total headcount by approximately 14 percent, joining a growing number of Canadian tech companies to impose layoffs.
BBTV called the layoffs part of its “cost optimization plan” through which the company also intends for a “more focused allocation” towards content management, direct advertising sales, and mobile gaming apps.
“We have had to make some hard choices, but this is the right moment to focus on the lines of business that create the greatest value of our customers, shareholders, and ecosystem partners,” said BBTV chairperson and CEO Shahrzad Rafati.
BBTV did not state how many staff exactly where laid off as part of the cuts, though according to its LinkedIn page, BBTV has about 431 employees.
Vancouver-based BBTV is the holding company behind BroadbandTV, a media and tech firm. Founded in 2005, BBTV’s platform allows partners to distribute, manage, and monetize video content. The company serves independent content creators and media companies, enabling them to grow their presence online.
BBTV began trading on the Toronto Stock Exchange in October 2020. Its initial public offering brought in $172.4 million in gross proceeds.
In the first quarter of 2022, BBTV generated a total revenue of nearly $99 million CAD, representing a year-over-year decrease of seven percent. The company also reported a net loss of $12.5 million—an increase of 39 percent from the $9 million it lost in the same period last year. BBTV attributed this decline to a dip in views as COVID-19 lockdowns have subsided and consumer consumption patterns have changed.
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BBTV is one of the latest companies to cut staffing amid unfavourable market conditions for the tech sector.
Entertainment media giant Netflix laid off 150 employees in May, representing two percent of its workforce. TikTok’s parent company ByteDance dissolved a global team in its human resources department in December.
The global tech rout has reached Canada as well. Most recently, Wealthsimple laid off around 13 percent of its employees following a hiring freeze. Other Canadian tech companies that have reduced staffing in the last couple of months include WonderFi, Thinkific, Bonsai, Legible, and Proposify.
Feature image courtesy BBTV.